The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1887-12-08


.'The government has bought silver bullion
and coined 1t into about $3.50. O00. 600. OF which
it has put in circulation among our people about
$50, OOO. 600, making an apparent proht tnereoy
OF over $50, 900, 900; it has always kept those
dollars and their certificates valuable as they
were when it paid them out, by receiving them
in payment Of taxes; but sometimes 1t has been
obliged to receive them in greater amounts than
the people were willing to take them; this was
they SO accumulated that at the end OF July,
1856, there 500, $50. $50 of them In the
Treasury. During those years the funds In the
Treasury formed the reservoir which held the
sill YER dollars that the people did not want and
thus prevented those which they did want and
still held ($146 DOC. 000.l from going to dis
CONT, or, in other words from becoming worth
less to the people than they were when the gov
eminent originally paid them out OF Its treasury.
The foregoing tables show that during the
sixteen months ended November l, 1885, THIS
department. was able pay out at par and keep
in circulation SO 464 905 of the coined silver
dollars, and $72, 597, 732 of their representatives,
the certificates, in addition to the amounts or
each in circulation July ], 1886. LIZ the depart
ment had been able to print enough certificates,
doubtless the whole of this increased use OF
silver would have been in the form of certlf-
Gates, and that few, if any. coined dollars
| would have been paid out On the contrary
many of those out would have been returned
and certificates taken in their place.
'There should always be in the Treasury
enough silver besides that held against out
standing certificates to enable the governments
to at once supply any demand for it on the part
of the people; but all held in the treasury IN
excess of that amount is absolutely useless for
any purpose, and is in fact menace to the Sill
yer which the people hold and also to the United
| States notes and national bank notes, to the
whole circulating medium, except gold; there
fore 1t would be the part of wisdom TO prev emit
any accumulation of silver in the Treasury be-
yond sufficient reserve needed to meet any
demand which may be made Tor 1t. Inls can
be done by fixing the amount or sucn reserve
and providing that when it is exceeded by say
S., 0OO, OOO the purchase of bullion shall cease
until the amount held by the government again
ole N Ann nj a.
what similar to that recommended by my pre-
decessor in his last annual report. would be to
provide that when the reserve was exceeded
amount of United States notes equal In value
to such excess should be canceled. II enough or
them were in the Treasury but if not, then the
purchase of bullion to cease until the maximum
reserve should be reached This would create
vacuum in the circulating medium which would
be filled by silver. The amount OF United States
notes would be gradually reduced until the
whole were nguished; silver dollars or silver
| certificates would take the place of United
| States notes as they were retired This plan
| would make our currency more uniform and as
| secure now.
| "Neither of these plans, if adopted. would di-
| miDish the actual or potential use OF silver as
currency by dollar In my judgment, it would
be promoted thereby. Our people will never
| consent that the money which is in everyones
pocket shall become OF less value than IL was
whea the COVE rnment paid it to them, if it be in
| the power of the gov eminent to make it good.
1.-THE trade dollars have been practically re-
deemed in gold under act of Congress, although
| thew we're held bv but few persons. were intrin-
sically worth more than the standard dollar, and
| had far less equitable claim for redemption than
| would the standard dollar. If ever the time
| comes when the standard dollar goes to dis
count. the people, in the pockets OF almost every
| one of whom will be found more or less OF those
| dollars. will emphatically demand that they.
too shall be redeemed gold or made as good
| when issued, and that the purchase of silver
bullion stop. If the plan above suggested were
| now adopted. they would probably never go to a
| discount-surely not except under altogether
extraordinary circumstances-and yet the pub
lie would have supply of them limited only by
| the need and demand of the people for them. 1
| recommend that a law to the above effect be en-
| acted.
During the year ending Oct 81, 1887 there
| have been 225 new banks oreanlzed-capitaI,
$50 $40 900; circulation, 81 600 1916 Thirty three
| banks have been closed during the same period,
| liquidation and eight have failed. These thirty
| three banks had an aggregate capital or $4O87,-
| 450 and theI- outstanding circulation amounts
| to 81, 122, 1885, The total number of national
banks organized to date has been 8, sos, of which
3219 have been formed under the acts of Con gress
and $50 have been converted from State instItu-
tiors. OF the first class. $50 have gone into vol
| untary liquidation and 100 have failed leaving
| in existence 2, 563. OF the second class, sixty
| nineteen have failed. leaving in operation 49S.
| Total in operation 3,O61, being the largest num-
Der vet reached The following-named items
show net increase during the year. VIZ: Capital
| posts. $40, sos, SlS 81 The decrease during the
year in United States bonds held for all purposes
The report of the Commissioner of Internal
! Revenue, transmitted with The Secretary's re-
! port, sets forth In detail the condition of this
| branch of the public service The amount col
lected during the year was $llSS37, 301. o. Of
which 500. 829, 321. II was from spirits $780, 108-
6O7.13 from tobacco, s21. 922, 1S7. 40 from fer
| mented liquors, and the remainder from other
| sources The Secretary says:
"The Commissioner. in his report reiterates
his recommendations in previous reports to the
| effect that the law be amended to provide
for the taxation of fractions of gallons of dis
titled spirits; to authorize the distillatiou OF
brandy from all kinds of fruits under the exemp-
| tions now accorded to distillers of brandy from
| apples, peaches and grapes exclusively, and to
| provide for the storage of all kinds Of fruit
| recommends that the tax on reimported domeS-
tic spirits be treated an internal revenue tax,
| and levied upon the quantity drawn from the
| distllerv warehouse. or to require the duty pay
| to be paid with interest at a rate 70 be deter
| mined by Congress, the interest to run from the
| date of the withdrawal from the distillery ware
house, or from the date of payment of the draw
| back, the case may be-
He also points out the great disparity be-
| tween the special taxes and the tax the article
| itself in the oleomargarine law. which leaves it
| in doubt to whether the law should be con-
| strued as protective measure, or as prohibit
| DRY measure. He suggests a sImplihcatlon or
the statute, if it Is to be simply internal rev.
| enue measure, and submits certain information,
| including bills introduced and laws passed by
| other countries, as valuable aids to Congress,
| whether the law is to be perfected either as a
| protective measure a prohibitory measure
In my opinion. the adoption of the amend
| ments proposed by the Commissioner of Internal
| Revenue would remove certain existing Unequal
| tiles in the payment OF tax. His recommends
| tions therefore approved. 1 would also
| recommend fthat the law relative to oleomarga-
| rine be carefully considered by Congress, and so
| amended to render it more efficient as means
| of protecting the people from being imposed up
| on through the sale of this article as butter"
| The remainder of the report is devoted to
statements of the routine business of bureaus of
the departments, all of which have been hereto
fore printed.
| THAT feeling of extreme debility is entirely
| overcome by Hoods Sarsaparilla. 81 was tired
| all over but Hoods Sarsaparilla gave me new
| life and strength" says a Pawtucket, r. L, lady.
Hoods Sarsaparilla is sold by all druggists. 81
| a bottle, or Six bottles for s..